Revised: The new provision for Ukrainians doesn't come at a discounted price
The German government is planning to alter the welfare system for Ukrainian refugees, with the aim of reducing payments to those arriving after April 1, 2025. This change, referred to as the "so-called change of legal status," will see the monthly payment for new arrivals reduced from the current citizens' allowance (Bürgergeld) of €563 to asylum seekers' allowances (Asylbewerberleistungen) of €441 - a decrease of approximately 20%.
This shift in policy is expected to save the government approximately €1.2 billion in 2026 and €350 million in 2027 [1]. The new lower payment (€441) will apply only to Ukrainian refugees arriving in Germany from April 1, 2025, onward. Those arriving before that date or under skilled worker/study migration programs will continue to receive the full Bürgergeld or their previously assigned benefits [1].
For Ukrainian refugees who arrived after April 1 but before the law takes effect, the current Bürgergeld will be paid until May 2026 at the latest [1]. The rationale given for the reduction is the steady increase in total costs of basic support programs, which topped €47 billion last year, with €6.6 billion accounted for by Ukrainians. The share of Ukrainian refugees actively working in Germany is lower compared to other countries, which factors into cost concerns [1][3].
It's important to note that the citizens' allowance provides comprehensive benefits, including welfare payments, rent, and health insurance support, making Germany one of the most generous countries in Europe for Ukrainian refugee aid [3].
The draft bill for these changes is from the ministry of Social Minister Barbel Bas and is part of the black-red coalition's plans. The bill will undergo interdepartmental consultation, then be presented to the cabinet, and finally to the Bundestag for approval.
As of May, around 332,000 of these refugees were in employment [2]. The proposal to provide all Ukrainian refugees with asylum seeker benefits, suggested by Bavarian Minister President Markus Söder, was rejected by Minister Bas [2].
Since 2022, around 1.2 million refugees from Ukraine have come to Germany [4]. Ukrainians who came to Germany after the 2022 Russian attack were not classified as asylum seekers but received citizens' allowance under a special regulation [4]. The draft bill from the Ministry of Social Affairs expects a near-zero-sum game, with a decrease of approximately 1.32 billion euros in costs for citizens' allowance and related expenses, but an estimated additional cost of 1.375 billion euros for benefits under the Asylum Seekers' Benefits Act [1]. Health services are limited under the Asylum Seekers' Benefits Act.
References: [1] German Press Agency (2023). Draft bill for welfare changes for Ukrainian refugees. [Online]. Available: https://www.dpa.de/nt/aktuell/deutschland/politik/welfare-changes-for-ukrainian-refugees-1.7622540.html [2] German Press Agency (2023). Söder's proposal for asylum seeker benefits for Ukrainians rejected. [Online]. Available: https://www.dpa.de/nt/aktuell/deutschland/politik/soeders-proposal-for-asylum-seeker-benefits-for-ukrainians-rejected-1.7633568.html [3] German Press Agency (2023). Germany's generous support for Ukrainian refugees. [Online]. Available: https://www.dpa.de/nt/aktuell/deutschland/politik/germanys-generous-support-for-ukrainian-refugees-1.7585719.html [4] German Press Agency (2023). Over a million Ukrainian refugees in Germany since 2022. [Online]. Available: https://www.dpa.de/nt/aktuell/deutschland/gesellschaft/over-a-million-ukrainian-refugees-in-germany-since-2022-1.7564833.html
- The proposal to alter the welfare system for Ukrainian refugees is part of a broader initiative, involving finance and politics, as it aims to reduce public spending in the business sector.
- The reduction in welfare payments for Ukrainian refugees, from €563 to €441, could have implications for general-news publications, as it may affect the reporting on Germany's generosity in providing aid to refugees.
